New Online Music Service For Australia
arb writes "Destra Music is the first online music retailer to open its doors in Australia. Currently their catalogue offers over 100,000 tracks priced from 99c (Australian) and they hope to have half a million tracks available by mid next year. Purchasers will be able to burn the songs to CD and copy them to portable devices. The tracks are available for purchase through online partners, such as JB Hi-Fi and Sanity Online. In what is believed to be a first for online music retailers, vouchers will be available in stores so you will not need a credit card to purchase online." Sounds like competition for Bigpond Music's download service, and also dealing with DRM'd .wma files.
Most of the songs are 1.99AUD.
Many Australians are used to roughly doubling USD prices to convert to Australian dollars. So 1.99 AUD might seem comparable to 0.99 USD
But lots of people have noticed that the AUD-USD exchange rate is around 0.75 these days - that means that 0.99 USD is hovering around 1.33 AUD. And there is no importation costs or conversion costs (to 240V power) or anything.
So... guys, I don't think this is gonna work. Not only has the internet messed up your physical distribution model... but also your geographical distribution model.
Sucks, doesn't it?